FINDINGS

 From our exhaustive research on arbitrage with reference to Indian stock market we found that
maximum of arbitrageurs are dealing in arbitrage because it is riskless and provides good return when
there is volatility. Also, there is market inefficiency in indain stock market exist which provides them
good opportunity to take benefit of it.

 It is found that there is maximum awareness of cash to cash arbitrage i.e, all 50 arbitrageurs are aware
of cash to cash arbitrage. 42 of them are even aware of cash to future arbitrage.

 We even found that Cash to future arbitrage method is highly used by arbitrageurs for dealing in
arbitrage.

 18 arbitrageurs are getting the return of 15-20% and 13 are getting the return of 10- 15%. So it can be
seen that arbitrage provides good return.

 Cash to future arbitrage method provides maximum return to arbitrageurs as 64% of arbitrageurs are
getting maximum return from cash to future method.

 All the arbitrageurs are taking the benefit of special events that provides more arbitrage opportunities
like declaration of annual report or quarter report, budget, election etc.

 According to arbitrageurs declaration of annual or quarter report provides maximum arbitrage

opportunity.
 CONCLUTION

RECOMMENDATIONS
1) According to the survey there is risk of execution lag when there is high volatility in market and
arbitrage is done manually. So I would like to recommend all arbitrageurs to deal in arbitrage by
using software to take complete benefit of market inefficiency and to avoid the risk of manual error.
2) It is even found that there are many arbitrageurs who are mot aware of different mathods of
arbitrage. So I recommend all arbitrageurs to study these different method of arbitrage as they can
even take benefit from those arbitrage opportunities.
3) It is also found that there is market inefficiency in Indian stock market which leads to arbitrage
opportunity. So here I would like to recommend all the sub brokers to take benefit of arbitrage
opportunities which provides good return with no risk or very little risk.